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Aluma Capital (Pty) Ltd is a registered Financial Services Provider (FSP 46449) in terms of The Financial Advisory and Intermediary Services Act (37 of 2002)
September 5, 2024
September 5, 2024

Prediction on the Current Account for South Africa

Consolidated international trade in South Africa is reflected in the current account balance, typically expressed as a ratio of economic activity (GDP) on a quarterly basis. This figure includes not only import and export data but also service payments to and from the rest of the world, as well as international income payments.

Service payments encompass transport services, travel services, telecommunications and IT services, and financial services. Income payments include dividends paid or received, interest payments, worker remittances, and royalties.

For the first quarter of 2024, the South African Reserve Bank (SARB) reported the current account balance as -1.2% of GDP. This indicates that total payments for goods and services, including service and income payments, exceeded total exports of similar items. Our forecast for the second quarter suggests a slight deterioration in this ratio to -2.2%.


Frederick Mitchell

Frederick Mitchell is an economist with 16 years of experience, specializing in the intersection of politics, economics, and finance on both domestic and international levels.

His extensive background spans the private sector, where he worked in equity and investment, as well as the public sector, where he served as a senior economist at SARS.

As part of the Aluma team, Frederick leverages his expertise to identify sectors with growth potential and assess those with higher risk, providing valuable insights and strategic advice.


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